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- Revenue and expense data for Gresham Inc. for two recent years are as follows: a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round to one decimal place. b. Comment on the significant changes disclosed by the comparative income statement.The following data (in millions) are taken from the financial statements of Target Corporation: a. For Target Corporation, determine the amount of change in millions and the percent of change (round to one decimal place) from the prior year to the recent year for: 1. Revenue 2. Operating expenses 3. Operating income b. What conclusions can you draw from your analysis of the revenue and the total operating expenses?Jasmine Company provided the following income statements for its first 3 years of operation: Refer to the information for Jasmine Company above. Required: Prepare common-size income statements by using net sales as the base. (Note: Round answers to the nearest whole percentage.)
- Sundahl Companys income statements for the past 2 years are as follows: Refer to the information for Sundahl Company above. Required: 1. Prepare a common-size income statement for Year 1 by expressing each line item as a percentage of sales revenue. (Note: Round percentages to the nearest tenth of a percent.) 2. Prepare a common-size income statement for Year 2 by expressing each line item as a percentage of sales revenue. (Note: Round percentages to the nearest tenth of a percent.)Which of the following types of quantitative information are required to be disclosed in Form 10-K for each reportable segment? Select one: a. Profit or loss amounts b. Total assets amounts c. The amount of revenue from a single customer representing 10% or more of any reportable segment's total revenue. d. A and B e. B and C f. A and C g. A, B, and CRefer to the information for Sundahl Company on the previous page.Required:1. Prepare a common-size income statement for Year 1 by expressing each line item as apercentage of sales revenue. (Note: Round percentages to the nearest tenth of a percent.)2. Prepare a common-size income statement for Year 2 by expressing each line item as apercentage of sales revenue. (Note: Round percentages to the nearest tenth of a percent.)
- Prepare the common-size financial statement for the entities below and provide a reasoned explanation of the benefits relative to ratios when used to compare performance and establish trends. Income Statements for year ending 31 December 2022 Timber Co. ltd $.000 Biscuit Co. Ltd. $'000 35,119 30,990 12.693 11.088 22,426 13,158 Net revenue Cost of goods sold Gross profit Selling & administrative expenses Other operating expenses Operating income Interest income Other income (net of expenses) Profits before tax Income tax expense Profits after taxes 819 8,449 833 6,447 14,193 2.384 11,809 19,902 11,358 313 8,231 355 988 8,864 2,040 6,824Below are the two basic financial statements of Chiz Trading Company. You are tasked to prepare an analysis using Horizontal and Vertical Analysis of their two-dated financial statements. In addition to this you have been tasked to prepare financial ratios measuring the company’s: Liquidity Status Current Ratios Quick Asset Ratios Efficiency Status Asset Turnover Fixed Asset Turnover Inventory Turnover Days in Inventory Accounts Receivable Turnover Days in Receivable Profitability Status: Gross Profit margin Ratio Operating Income Ratio Net Profit Ratio Return on Assets Return on EquityYou have been provided with Leonard Corporation's partial Statement of Financial Position and the Statement of Comprehensive Income for the year ended December 31, 2021. Leonard Corporation Partial Statement of Financial Position For the Year Ended December 31, 2021 Accounts receivable -net Prepaid expenses Inventory Property, Plant & Equipment Accumulated Depreciation Accounts payable Income taxes payable Deferred revenue 2021 Sales....... Cost of goods sold.. Gross Margin. Selling, general and admin Depreciation expense $440,000 482,000 45,000 31,000 825,000 810,000 2,475,000 2,105,000 2020 (866,000) (823,000) 184,000 197,000 38,000 35,000 47,000 42,000 Leonard Corporation Statement of Comprehensive Income For the Year Ended December 31, 2021 Interest expense..... Gain on sale of PPE Net income before taxes Income Tax Expense Net income and comprehensive income... $3,560,000 1,950,000 1,610,000 (595,000) (320,000) (115,300) 55,400 635,100 95,300 .$539,800 Additional information:…
- Selected data for a segment of a business enterprise are to be reported separately when the revenue ofthe segment exceeds 10% of the ____________________________________________________.A. Combined net income of all segments reporting profitsB. Total revenue obtained in transactions with outsidersC. Total revenue of all the enterprise’s segmentsD. Total combined revenue of all segments reporting profitsPrepare the common-size financial statement for the entities below and provide a reasoned explanation of the benefits relative to ratios when used to compare performance and establish trends. Income Statements for year ending 31 December 2022 Net revenue 35,119 Cost of goods sold 12,693 Gross profit 22,426 Selling & administrative expenses 13,158 Other operating expenses 819 8,449 Operating income Interest income Timber Co. Itd $'000 Other income (net of expenses) Profits before tax Income tax expense Profits after taxes 833 14,193 11,809 6,447 2,384 Biscuit Co. Ltd. $'000 30,990 11,088 19,902 11,358 313 8,231 355 8,864 988 2,040 6,824Vertical analysis of income statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: A. Prepare an income statement in comparative form, stating eachitem for both years as a percent of sales. (Round to the nearestwhole percentage.)B. Comment on the significant changes disclosed by thecomparative income statement.